Digital Low Power Television Rules Go Into Effect; Sept. 1 is Deadline for Out-of-Core LPTV Stations to Seek Displacement

The Commission's recent Order establishing the rules and time line for low power television stations to convert to DTV has now been published in the Federal Register, meaning that most of the new rules regarding the conversion of low power television stations to digital television are now in effect.  As we wrote about extensively here,on July 15, 2011, the FCC adopted a Report and Order regarding the transition of low power television stations (LPTV), TV translator, and Class A low power stations to digital.  As set forth in that Order, September 1, 2015 will be the hard date for the conversion of all remaining analog LPTV stations to digital. The Order adopts the specific procedures, rules, and timing of the digital conversion for those stations, and with Friday's publication in the Federal Register, those rules are now in effect, with two exceptions.  The extension of the "ancillary and supplementary" rules to LPTV permittees operating pursuant to an STA is still awaiting OMB approval, as is the requirement that stations that have not yet taken steps to convert to digital must notify the FCC of their digital transition plans.  This second requirement will force stations to consider their digital future and share their transition plans with the Commission.  Once the OMB approves the collection of information inherent in that requirement, that part of the new rules will go into effect, and the FCC will announce the timing and requirements by a further public notice.

The FCC's DTV LPTV Order also established December 31, 2011 as the deadline for all LPTV and TV translator stations operating on out-of-core channels -- that is Channels 52 to 69 -- to cease operation. Any station that operates outside the core that does not already have a construction permit for a core band operation must file for a construction permit for the core band by September 1, 2011. Given that today is August 30th, hopefully out-of-core stations have their ducks in a row and are already on file, or preparing to file displacement applications to move into the core.  The FCC states that there will be no hardship extensions of the December 31 deadline – meaning that such stations must terminate operations no later than December 31 of this year no matter what. 

Comments Regarding Transition of Low Power Television Stations to Digital due December 17th

The Commission's recent Notice of Proposed Rule Making proposing a framework and time line for the transition of Low Power Television stations to digital operations -- which we wrote about last month here -- was published in the Federal Register today setting December 17, 2010 as the deadline for Comments and January 18, 2011 as the deadline for Reply Comments.  Interested parties should start preparing their comments now.  One continuing issue commenters should be aware of is the possibility of a television spectrum incentive auction or some other reclamation of television spectrum.  In seeking comment on the timing of the transition of LPTV stations to digital, the Commission has asked whether it makes sense for LPTVs to transition sooner rather than later and possibly face the need to reshuffle if the spectrum is compressed or otherwise reconfigured in the future, or alternatively, if LPTVs wait until the spectrum is settled before a DTV transition is mandated.  Comments on that issue and any others responsive to the Commission's NPRM are welcomed from all interested parties.  Comments can be filed in paper with the Commission or electronically through the ECFS filing system.  The proceeding has been designated as MB Docket No. 03-185.

Commissioner Clyburn Suggests TV Channels 5 and 6 Could Be Used For Radio - Will It Happen?

In a recent speech before the Community Radio Conference, FCC Commissioner Mignon Clyburn suggested that the proposal to reallocate Channels 5 and 6 for FM radio use had merit and should be considered further.  That proposal is already before the FCC, and ripe for decision - so it could theoretically be adopted tomorrow.  However, the proposal is not backed by all.  While Commissioner Clyburn may think that the idea bears more exploration, there seems to be significantly more consideration that is necessary before a decision on the pending proposals can be made.  What are these proposals, and what is standing in the way of a reallocation? 

As we have written before, the proposals have been made to take TV Channels 5 and 6, which are immediately adjacent to the FM band, and reallocate them to radio broadcasting.  The pending proposals include suggestions that LPFM stations could be located on the new FM channels that could be created, that new space for noncommercial radio operations could be created and, if they operated digitally, there would even be room to move the entire AM band to Channel 5.  While some have suggested that any relief from such a transition would be long in coming, as radios would need to be manufactured, in fact that process might not be as prolonged as suggested, as the frequencies used by these television channels are already used for FM radio in Asia.  Radios already exist that could pick up these channels (at least for analog reception).  However, television interests have opposed this reallotment, but it may well be the broadband plan which could have the greatest impact on the consideration of this issue. 

The initial objections to the reallotment of these channels to radio came essentially from two groups of television operators.  The first were those few full-power stations that were still operating, after the digital television transition, on these channels and either couldn't move to another channel, or were unwilling to do so without getting paid.  The second group was low power television operators.  Many of these operators are using Channel 6 LPTV stations, which are still operating in an analog mode in many markets, as virtual radio stations, as FM receivers can pick up the audio of these stations.  While there will be an eventual transition of these stations to digital which will probably end their use as radio stations, the ultimate transition date has not yet been set.

But the recent proposal for the repurposing of some of the television spectrum for wireless broadband creates a whole new problem for the use of Channels 5 and 6 for FM radio. Those channels might well be needed for television if the FCC seriously forces TV to give up part of the UHF band that is currently used for DTV service.  While VHF channels, like 5 and 6, have proved to less than optimal for DTV use, and are not expected to be very good for mobile DTV, television users could be forced to use these channels were the FCC to follow up with its suggestions of taking some of the UHF channels for mobile broadband.  These issues are all interrelated - a change in the use of TV channels for broadband may down the road affect the growth of FM.  In short, while Commissioner Clyburn may think that the idea has merit - don't look for it to be implemented anytime soon.

FCC Reminds Stations of Obligation to Man the Phones and Assist Viewers

On Tuesday, the FCC released a public notice reminding stations of their obligation to provide a consumer referral telephone number to the FCC and to publicize that number so that viewers will have a local number to call for specific information about the station’s transition to DTV.

In addition, the FCC also reminded stations that they should be prepared to answer calls from viewers in the hours immediately after their transition and in the days that follow. The FCC’s rules require that stations offer information and assistance for viewers having difficulty receiving their signal. Per the FCC:  The station’s consumer referral number "should be staffed with personnel prepared to answer complex questions from viewers, particularly regarding necessary actions to take to get reception in specific locations, and other engineering issues."  In particular, stations must be prepared and staffed for an increased volume of calls, both referred from the FCC’s National Call Center and locally originating, at the time the station terminates its analog signal.  The FCC’s Call Center will be available 24 hours a day for the days surrounding the June 12 transition, forwarding calls directly to stations where necessary.

FCC Provides Guidance on DTV Call Signs

Further information from the FCC regarding the DTV transition, this time dealing with call signs. The FCC has announced that following the DTV transition, full power television stations may either keep their current call signs (i.e. WXYZ or WXYZ-TV) or they may formally change to use "-DT" instead, as in "WXYZ-DT".

Stations that intend to keep their current call signs do not need to take any action.

Stations that wish to use "-DT" must change their call letters using the Commission's on-line call sign reservation system. The change can be requested after the station has completed the permanent transition to digital service and there will be no charge for the call sign change.

For the handful of stations that are DTV-only stations, i.e. those that never had an analog channel, those stations have already been designated "-DT" and will retain that designation without any further action. If a DTV-only station wishes to switch from "-DT" to "-TV", it may file a call sign change request at no charge to make that change.

A copy of the FCC's recent Public Notice on this issue is available here, and a link to the FCC's call sign reservation database is here

 

FCC Clarifies Commencement of DTV on June 12th

The FCC yesterday issued a brief Order clarifying that stations that are flash-cutting to digital on their analog channel, or are otherwise commencing digital service on another channel as part of the transition, have the flexibility to do so at any time on June 12th without further authorization from the FCC.

[Please note, this information does not affect stations whose pre-transition and post-transition digital channels and facilities are the same. Such stations can complete the transition by simply terminating their analog service.]

Currently, DTV construction permits that specify only "Post-transition" operations state that they can only be implemented after 11:59 PM on June 12th, meaning you could not begin operations until the stroke of midnight on June 13th.  With the FCC's recent clarification, however, stations are free to begin DTV operations whenever they are ready to go on June 12th.  This will hopefully allow stations to commence digital operations with less of a gap between the analog shut off and the digital commencement.  In addition, it will also allow stations the flexibility to commence operations on June 12th and work any bugs out during daylight hours.

Thus, for example, a station that is scheduled to shut off its analog facility at 10 AM on the 12th can begin DTV operations on that same channel at 10:01 AM instead of having to wait until after midnight.  The only caveat is for those stations whose early operation could affect another station (e.g., where Station A's post-transition channel is the same as Station B's channel for pre-transition).  In those cases, the FCC has instructed that the parties must coordinate with one another to ensure that the incumbent station terminates its service before the new co-channel station begins operation.  Again, no authorization is required from the FCC, but if the stations are not able to coordinate with one another, then they must wait until after 11:59:59 to commence post-transition operations.

In any case, once a station commences post-transition DTV operations consistent with their underlying construction permit, they will need to file a notification with the FCC, as well as a Form 302-DT covering license application to complete the process. 

 

FCC Adds More DTV Consumer Education Requirements

On Friday, the FCC released its further Report and Order addressing the termination of analog service between now and June 12th, and revising the current DTV Consumer Education Requirements.  Despite the apparent success of the February 17th turn-off of approximately one-third of the analog television stations in the country, the FCC has now ratcheted up the DTV Consumer Education requirements at the eleventh hour.  The FCC has expanded and revised its rules significantly, so stations should review the Commission's Order carefully and adjust their efforts and the content of their spots, crawls, etc., as necessary.  These new requirements will go into effect starting April 1st.  The full copy of the FCC's Order is available here, and a summary of the new DTV education requirements is as follows:

First, in one of the few moves to reduce the burden on stations, the FCC has eliminated the requirement for most stations to continue broadcasting DTV transition educational information after they have terminated analog service and are operating in digital only.  Thus, stations that have completed construction of their full-authorized, post-transition digital facilities and are operating exclusively in DTV do not need to continue with the general DTV Consumer Education announcements.

Second, for those stations that have not yet terminated analog, the FCC has expanded the DTV Education requirements in order, in the FCC’s words: “to ensure that consumers will receive the information they need to make proper preparations for the digital transition of the stations on which they rely for television service.”  Specifically, beginning April 1, 2009, the stations must comply with the following rules:

1. Loss Area Notices- If the FCC’s Signal Loss Report -- available here  -- predicts that 2 percent or more of the population in a station’s Grade B analog service contour will not receive the station’s digital signal, then the station must air service loss notices to inform viewers of exactly where (i.e. which communities or what sections of the market) an analog signal is received today, but won’t receive a digital signal after the transition. These notices are in addition to the existing consumer education requirements. The FCC estimates that there are 213 stations still operating in analog that will lose more than 2 percent of the current population when they switch to digital-only. Thus, stations should review the FCC's Signal Loss Reports and determine how best to convey information about "loss areas" (if any) to their viewers. For stations needing to air information about loss areas, the notices must be no shorter than 30 seconds and must be aired at least once per day between 8 AM and 11:35 PM. These spots are in addition to other on-air informational requirements.

2. Antenna Information- All stations must include information about the use of antennas as part of their consumer education campaign, including information concerning a station’s change from the VHF to UHF bands, and the need for additional or different equipment to avoid loss of service. Antenna info can be included in existing DTV consumer education efforts, such as in news programs and longer format pieces. Information must be provided at least once per day, in a message lasting at least 15 seconds, with at least three of those messages a week airing during prime time. 

3. Rescanning- All stations must include information in their consumer education campaigns to inform and remind viewers about the importance of periodically using the rescan function of their digital televisions and digital converter boxes. Rescanning info can be included in existing DTV consumer education efforts, such as in news programs and longer format pieces. Information must be provided at least once per day, in a message lasting at least 15 seconds, with at least three of those messages a week airing during prime time.

4. Phone Numbers and Consumer Help Centers- The FCC is now requiring that stations have and publicize "a telephone number that will serve to receive local consumer calls and consumer referrals from the FCC’s national Call Center." The FCC expects that the telephone number provided will be one that is staffed during business hours with personnel who are prepared to answer complex questions from viewers, particularly regarding necessary actions to take to get reception in specific locations, and other engineering issues. The FCC has noted that stations should be prepared for an increased volume of calls, both referred and locally originating, around important dates such as the date the station terminates analog, the date many other stations in the market terminate analog, and June 12. This telephone number may be operated and staffed by the station itself, by a group of stations in a market, or by a third party entity such as a state broadcasters’ association.

As part of its DTV consumer education campaign, every station must air notices providing the location and operating hours of walk-in DTV help centers in the station’s market area; the FCC Call Center telephone number and TTY number; and the station’s telephone number for receiving consumer referrals and calls from local viewers. This info can be included in existing DTV consumer education efforts, such as in news programs and longer format pieces. Information must be provided at least once per day, in a message lasting at least 15 seconds, with at least three of those messages a week airing during prime time.

5. Countdown Clock- The FCC has amended the 100-Day Countdown requirement and will require broadcasters subject to the Option Two consumer education rules to air a 60-day countdown to the date of their individual termination of analog service. Stations terminating on June 12th will begin the 60-day countdown on April 13th.  Stations that terminate prior to June 12th will begin counting down to their specific termination date earlier, but will not be required to begin their countdown until April 1st.

6. 30-Minute Video- The FCC will require broadcasters subject to Option Two of the consumer education rules to air a new, up-to-date 30 minute informational video before they transition. This video must include locally specific information, including information about the specific transition date for the station, any loss of service issues, and the dates when all of the other stations in the market are transitioning.

Finally, the FCC has revised the FCC Form 388, the DTV Quarterly Activity Station Report, to reflect the changes it has made to the DTV Consumer Education Initiative broadcaster rules in this Report and Order.  

Re-start of 100-Day DTV Countdown Clock Suspended

Perhaps not surprisingly, the FCC has suspended the re-start of the 100-day DTV Countdown Clock, which was to begin tomorrow.  In the FCC's own words:

"We find that it could be confusing for viewers to see a 100-day countdown beginning on March 4, only to see a different clock in the event that we revise the requirement soon thereafter. Therefore, we temporarily waive the Option Two requirement to air countdown information until the effective date of the relevant rule adopted in the pending rulemaking proceeding…"

Accordingly, those stations following Option Two of the FCC's DTV consumer education rules should NOT re-start the 100-day countdown clock until further notice.  A copy of the FCC's public notice can be found here.  Option Two of the consumer education rules is the option that most stations have elected to follow, and includes, among other things, an average of 16 spots per week along with 16 crawls, tickers, snipes, etc. per week.  All other consumer education requirements besides the 100-day countdown clock remain unchanged (at least for the moment).

 

Countdown to February 17 - Some TV Stations Still Going All-Digital Despite the Extension of the Conversion Deadline

With February 17 only two days away - when all television stations had planned to be terminating their analog service until Congress passed the extension of the conversion deadline until June 12 - many stations are still planning to convert to fully digital operations on that date.  In the last few days, we have seen a flurry of FCC orders about the conversion - including one issued late Friday night modifying requirements that had previously been announced, including the requirement that stations providing analog nightlight service provide emergency information in Spanish.  As stations complained that they did not have the ability to translate their emergency information into Spanish, the FCC dropped the requirement (though still requiring information about the DTV transition to be broadcast in English and Spanish, probably assuming that Spanish-language PSAs providing the necessary information can be obtained from the NAB or other broadcast groups).  That order also officially extended all digital construction permits that would have otherwise expired on February 17, and extended the conditions that are on many of the permits prohibiting digital operations on their final digital channels until the new transition deadline - unless these stations get explicit permission from the FCC to transition early by showing that they will not cause any interference to other stations when they operate on their new digital channels.

The Commission also has been publishing lists of the stations that had intended to go all-digital by February 17 despite the extension.   First, the Commission released a Public Notice of all stations that had initially indicated that they would go silent, with a market-by-market analysis of which stations would go all-digital on February 17 (marked in red) and which would continue in analog.  After analyzing that list, the Commission issued another Public Notice, with a list of stations that could not go all-digital without submitting certifications that they would meet certain consumer education requirements after the transition - including having at least one commercial station in a market continuing to broadcast a nightlight service that not only included information about the digital transition, but also news and emergency information, for at least 60 days.  the certifications also required having a local call center for those who have questions about the transition, having a walk-in center where people can come for assistance with their digital converters, and otherwise taking steps to publicize the transition.  Stations either needed to make these certifications, provide another public interest reason why they had to terminate analog operations on February 17, or agree to continue their analog operations.

Late on Friday, the FCC issued the results of its order - providing lists of stations that have certified that they will meet the conditions and will transition on February 17, the few that have made alternative showings and will await FCC approval before they can make the February 17 transition, and those that have abandoned plans to transition on February 17.  In some markets, including Burlington-Plattsburg, Providence, La Crosse, Rockford, Sioux City and Waco, it appears that all or almost all of the commercial stations in the market will go completely digital, but for an analog nightlight station or stations, on February 17.  In other markets, including Eugene, Bakersfield, Billings, Mobile and Dayton, it appears that most stations that had been planning to go all digital, will continue their analog operations until a later date.

 All these decisions are being made at the last minute, as broadcasters struggle with the their decisions, often having to put aside long-made plans for the transition, or to absorb the additional costs of running two transmitters that had not been budgeted for when the plans for the February 17 analog cut-off seemed certain.  The Washington Post this week ran an interesting story, talking about the breakdown in the NTIA coupon program and the lack of communication between the FCC and the NTIA that led to the transition delay.  With the Commission seemingly putting the transition on the front burner now (including another meeting focusing on just that issue), the likelihood of the June 12 date holding seems almost assured.  Or at least we can all hope that will be the case. 

TV Digital Transition Rushes On - Comment Date on Proposals for Digital Fill-In Translators Set for January 12 and Analog Nightlight to Be Approved at January 15 Commission Meeting

The FCC's Notice of Proposed Rulemaking on Digital Fill-In Translators, to provide television service in areas where a television station's digital signal does not reach locations that were covered by its analog operations (a proposal we summarized here) was published in the Federal Register today, setting comment dates on this proposal.  Comments are due on January 12, and Replies on January 22.  As the Commission has already published instructions for filing for temporary authority to operate these stations, broadcasters who are interested in the final rules that may be adopted should look to file comments on these matters before the January 12 deadline.  This is another proceeding that is being rushed through the Commission in anticipation of the February 17 end of the digital television transition.

The analog nightlight proceeding is on an even faster track, with comments due on Monday (see our summary of that proceeding here). The Commission has just released a tentative agenda for its January 15 meeting, where the only item it will consider (other than reports from the Commission's various Bureau Chiefs) will be the analog nightlight proposal.  This is likely to be Chairman Martin's last meeting as chair of the FCC.  In light of the Congressional mandate to complete this proceeding by January 15, the Commission will have received comments and replies and digested them into a decision - all in the space of  20 days from the release of its Notice of Proposed Rulemaking - with the Christmas and New Years holidays intervening!  If anything, this shows two things - that the FCC can move rapidly if it has to, and that the DTV transition is the one and only real priority on the full Commission's agenda right now. 

Clearly, with this attention, it is imperative that broadcasters get it right and complete the transition on time and with as minimal disruption as possible, even though the government has not made it easy with all these last minute fixes only being offered in the last few months.  In addition to the digital fill-in translators and the analog nightlight, the Distributed Transmission Service order, authorizing what are effectively on-channel boosters, was just approved two months ago, after languishing at the FCC for several years.  All three of these proposals would have been much easier to implement had broadcasters been given more time to plan for their implementation and to budget for their costs.  But, as the FCC and Congress (which only a little more than a month ago approved the analog nightlight operations) seem as rushed to finish transition business as are some broadcasters, television operators will have to make due with what they have already planned, and make their listeners aware of those plans, between now and February 17.  As the transition will set the tone for the broadcasters dealings with the new Obama administration at the FCC, broadcasters cannot afford to get it wrong. 

FCC Proposes Rules for Analog Nightlight - For Those Left Behind After the Digital Television Transition

Congress recently passed legislation authorizing an analog "nightlight" or lifeline for those left behind after the digital transition.  This law was designed to allow certain full-power stations to remain operating in analog on February 18, with information about the digital transition for those people who otherwise managed to miss the information about that deadline.  This past week, while Santa was making his deliveries, the FCC released its proposals for implementing this authorization.  The Notice of Proposed Rulemaking sets out a list of stations that can take advantage of the authorization automatically, and the process for other stations being able to operate such a service.  In addition, the Notice proposes restrictions on the nightlight operation, the length of service, and miscellaneous other matters.  Given the tight timeframe before implementation on the end date of the digital transition, comments on the FCC's proposals will be due 5 days after they are published in the Federal Register, and replies 3 days later.

The proposals include the following:

  • Analog operation would be permitted by authorized stations for only 30 days after the end of the digital transition, through the end of the day on March 19, 2009.
  • The nightlight service can only include information about local emergencies, and information about how viewers can get digital television services.  The information about how to get digital services should be in English and Spanish, and accessible to those with disabilities.  No advertising will be permitted.
  • The Commission attached to its Notice of Proposed Rulemaking a list of eligible stations .  Such stations, if they are interested in participating, need to electronically file by February 10 a request for Special Temporary Authority to operate the nightlight .  No filing fee will be required.
  • Stations not listed may still participate by demonstrating how they will protect all digital operations, through lower power, terrain shielding, directional antennas or similar techniques.  Comments showing how they will participate should be filed in the comment period for the NPRM.
  • The nightlight service will not be entitled to mandatory cable carriage.

Not all markets will have a nightlight service - at least using the Commission's initial proposals.  The list of markets that will receive such service is available here.  The markets where no service is currently available are markets where all stations in that market would interfere with some station's digital operations were they to continue to operate their analog facilities after the transition deadline.  But, as stated above, it may be possible, through reduced power operations or in some other fashion, for at least some stations in these markets to provide some sort of post-transition analog service.

The Commission is looking for comments on the details of all of these proposals, including the details of what information the nightlight stations should provide, as well as the interference standards proposed by the Commission.  Parties with ideas about these issues should quickly prepare to file comments in this important proceeding so that service can be provided to those left out by the conversion of television stations from analog to digital on February 17. 

Congress Throws an Analog Lifeline While Telling FCC to Deal With the DTV Transition and Cancel Meeting, While New Administration Pushes for Phone Banks for Consumer Complaints

The digital television conversion end game is upon us, and everyone seems to be getting a little testy.  Seemingly, not everyone is convinced that the consumer education efforts have prepared the public for the transition, and thus Washington seems to be preparing for problems.  But, in a last minute attempt to solve some of the potential issues, both Congress and the new Administration have stepped into the breach to put pressure on broadcasters and the FCC to be prepared to deal with the February end date for analog TV.  Congress passed legislation authorizing the FCC to allow some television stations in each market to continue to operate in analog after the end of the transition to tell consumers who didn't make the switch what to do (an analog "life line service").  At the same time, Congress urged the FCC to mind the transition and not start off on new regulatory battles, causing the cancellation of this week's FCC meeting.  In this event-filled 10 days, the new Obama administration also stepped into the DTV transition, a potentially significant issue that will face the new administration less than a month after taking office, pushing broadcasters, cable companies and direct broadcast satellite companies to pay for and establish phone banks to provide assistance to consumers stranded by the transition.

The cancellation of the Commission's meeting was perhaps the strangest of these matters.  The FCC was prepared to hold a meeting later this week, with a full schedule of items to consider, including various items related, in one way or another, to the digital transition.  Included were a series of fines to broadcasters, consumer electronics stores, and others for not doing everything required by the rules to facilitate the digital transition.  The Commission was also planning to start the rulemaking process to authorize digital "fill-in" translators, i.e. low powered TV stations rebroadcasting a main station on other channels within the main station's service area to fill holes in digital service.  Plus, the FCC was to deal with the Chairman's proposals for a free wireless Internet service on channels being vacated by television stations as part of the transition.  Yet, Congressman Henry Waxman, the new chair of the House Energy and Commerce Committee, and Senator Rockefeller, the newly appointed Chairman of the Senate Commerce Committee ( the committees with responsibility over the FCC) wrote a letter to the FCC saying that it should concentrate its efforts on the transition, and not take up issues on which the new administration may want a role (perhaps the wireless service).  After receiving the letter, the December meeting was canceled (the first time in memory that the FCC did not have a monthly meeting as seemingly required by Section 5 of the Communications Act). 

So what will the FCC concentrate on?  One thing will be the new Congressional permission given to the FCC to allow some television stations to continue to broadcast in analog after the transition end date, providing an analog life line to those customers who are thrown overboard.  Essentially, for a 30 day period after the end of the transition, these lifeline stations will be broadcasting nothing but messages that tell those that missed the message about the transition as to what they need to do to get with the digital program.  The Commission will need to make decisions about which stations can operate as these lifelines without causing interference to other digital stations, and what rules will govern their operations.  The bill requires that these rules be in place by January 15.

Congress has not been the only one pushing for more efforts to address any issues that may arise in the transition.  According to a report published by TVNewsday, Tom Wheeler, former head of CTIA (the cellular industry trade association), who is working on the Obama transition team, had a meeting with representatives of the broadcast, cable and consumer electronics industries and essentially told them that there should be call centers set up and financed by these industries to answer questions about the transition, including calls from those people who end up without service on February 18.  The message was apparently heard, as the NAB today announced that it plans to set up such a call center, as have several state broadcast associations.

The DTV transition is just two months away, and it's clear that the pressure is on broadcasters to make sure that it goes smoothly.   The political ramifications of widespread problems may be great - so broadcasters should do all that they can to assure the transition is as painless as possible.

FCC Chairman Martin Releases Tentative Agenda for December 18th Open Meeting

Today FCC Chairman Kevin J. Martin released a tentative agenda for the scheduled December 18, 2008 Open Commission Meeting.  The tentative agenda, available here, contains a number of items that the Chairman has circulated to the other Commissioners for consideration at the upcoming Open Meeting.  Whether these items actually make it to the agenda for that meeting remains to be seen, as the formal agenda for the meeting will not be released until one week before the meeting.  Of particular interest to broadcasters are the following items:

  • Program Carriage and Program Access-  A Report and Order modifying the program carriage rules and procedures and a Further Notice of Proposed Rulemaking seeking comment on the practices of programmers and broadcasters.
  • DTV Translators-  A Notice of Proposed Rulemaking proposing a new digital television translator service for analog loss areas.
  • DTV Consumer Education Notice of Apparent Liability-  An omnibus Notice of Apparent Liability against various companies for apparent violations of the Commission’s DTV consumer education requirements.

It is unknown whether the Notice of Apparent Liability for Forfeiture (FCC-speak for a fine) will include broadcast television stations, retailers, multi-channel video providers, or some combination of all three, but the fact that the FCC intends to fine parties for failing to comply with the FCC's DTV education rules is a strong indication of how seriously it is taking the DTV transition.   

Issues on the Post-Transition Use of the Television Spectrum - White Spaces and Distributed Transmission Service (DTS)

With the final transition of television from analog to digital soon upon us, the FCC has scheduled for consideration at its November meeting two items that will address the use of the television spectrum after the transition - one designed to improve television reception, and the other viewed by television broadcasters as a threat to that reception.  The potential positive development is Distributed Transmission Service ("DTS").  The other proposal - which is far more controversial - is the proposal to authorize "white spaces devices" that operate wireless devices within the portion of the spectrum that will still be used by television stations after the transition.

DTS is the proposal that would allow television stations to use more than one transmitter to reach its service area.  Like the use of FM on-channel boosters, a DTS system would permit stations to use multiple transmitters located throughout their service area, each broadcasting on the same channel, but operating at a lower power than the traditional television station which usually operates from a single high-powered transmitter.  The idea is that, in digital, signals distributed from lower power transmitters spread throughout the service area might be less susceptible to signal impediments from terrain and building obstacles than would a single high-power transmitter.  The FCC proposed adoption of this system several years ago with little opposition, but it has languished.  Some have suggested that the experience in Wilmington, where some people who lived far from the center of the market were having over-the-air reception problems, gave new impetus to DTS as one way to provide better service to these more remote areas.

The second proposal, on white spaces, is far more controversial.  We've written about some of the white spaces issues before, and about one FCC study that found interference problems from these devices.  As these devices operate in the TV band on supposedly empty channels, it is important that they be able to detect television operations so that the devices can protect the TV stations from interference.  Now, the FCC has put the issue on its November agenda, after the FCC's Office of Engineering and Technology ("OET") released a second report which some characterize as demonstrating that the white spaces devices could work in the TV spectrum without creating interference to television reception (or to wireless microphones that also operate in the same frequencies).  However, television representatives have opposed the consideration of this issue without opportunity to comment on this OET Report, arguing that the details of the report show potential interference, pointing particularly at data which, they state, suggests that the white spaces devices have particular problems sensing TV stations operating on adjacent channels and thus could cause interference to these stations.

Thus, broadcasters have been lobbying hard to have the Commission put the issue on hold for further study.  One of the most recent developments was a letter from House Energy and Commerce Committee John Dingell to FCC Chairman Martin, asking a series of questions about the FCC's process - asking if the FCC's engineering report was subject to peer review to suggest any shortcomings, whether the FCC considered licensing these devices so that tracking interference concerns could be easier than with unlicensed mobile devices, and asking for the FCC to account for ways in which it regulates other unlicensed devices and interference issues that may occur ("pirate radio" being included in the list of unlicensed operations about which enforcement history is requested - one area where many broadcasters have alleged that the FCC has often been slow to act to stop illegal operations).  Congressman Dingell has requested the answer to his questions by October 31 - before the FCC's scheduled November meeting.

With this October 31 deadline, we'll see whether Halloween brings a treats or a trick for the white spaces proponents. 

Digital Television Conversion is a Reality in Wilmington NC - Publicity Ramps Up Around the Country While Issues of Readiness are Raised

It's been a week since Wilmington, North Carolina became the first television market in the country to have virtually all of its television stations convert to digital - ceasing their analog operations.  The FCC, NAB and local stations all concentrated great resources in Wilmington in order to ensure that the transition was smooth and, while most observers believe that disruption was minimal, there are some who remain concerned about the results of the Wilmington experiment, and whether it can be replicated in other television markets.  While the FCC ramps up its efforts to promote the digital television transition around the country, one Commissioner has suggested several other steps that should be taken (including leaving an analog lifeline for those people who don't get the message), and Congress is set to weigh in on the issues over the next two weeks.  All in all, the push is on for the February 17, 2009 transition to digital.

One of the most thought provoking commentaries on the transition comes from Harry Jessell, editor of TV Newsday.  In a commentary published last Friday, Jessell computes that the complaints in Wilmington amounted to about 5% of the television households in that market.  If that pattern was to be repeated in all markets around the country, Jessell computes that there would be about 1.7 million homes that will miss the transition and be without TV service on February 18.  Jessell further figures that this is a best case number, as all of the publicity showered on Wilmington will not be available in the remainder of the country, and there will likely be more technical problems in other markets with more irregular terrain than Wilmington (which is mostly flat coastal plain) and where TV towers are in different locations.  Jessell suggests several steps - including staggered cut-off dates to avoid overloading national DTV hotlines, more education on antenna issues (one of the major issues in Wilmington), and more "soft-tests" (stations ceasing analog operations for limited periods to see if their viewers are ready for the transition). It is a commentary worth reading.

FCC Commissioner Michael Copps today released a letter to Chairman Martin suggesting his own set of actions.  These include some that the FCC can itself do (e.g. setting up task forces to target outreach to "at-risk communities" and improving the FCC's call center to deal with DTV questions), many of the proposals will need significant industry assistance.  This includes the proposal to push for the introduction of battery powered digital televisions (important in emergencies like those highlighted by this year's hurricanes), conducting more field testing, and improving education about how to use digital-to-analog converter boxes and antennas to pick up digital signals (which in many cases need to be far more sensitive and accurate given the all or nothing nature of the digital signal - it doesn't deteriorate toward snow when the antenna is not properly placed, instead it disappears.  Also, the nature of the digital signal requires "buffering," meaning that an antenna must be left in one place for 5 to 10 seconds to see if it has acquired a signal, making antenna placement more difficult without immediate feedback as to whether it is in the right place).  Commissioner Copps also favors an idea that has been echoed by many other observers - the need to leave at least one station operating in analog after the end of the transition with an explanation of where the analog signals went for those people who don't otherwise get the message.

In the next two weeks, both the House and the Senate will be holding oversight hearings to determine if the FCC is properly handling the end-game of the DTV transition.  At the same time, the FCC has announced that it will be sending its employees around the country to conduct DTV transition seminars and meetings.  We've personally seen FCC staffers, required to travel for reasons totally unrelated to the transition, who have been pressed into service to spread the DTV message when they are otherwise visiting a distant city .  The FCC is doing its best to spread the word.

Even with these efforts, are there bound to be some people who miss the message?  Of course - there always seem to be some people who simply are not paying attention. But doomsayers must also remember that, as the final transition date approaches, the media will all focus on that deadline.  One would think that, with the concentrated publicity that the deadline will receive from local and national media, the word will get out.  Or at least we can hope....

FCC Announces DTV Consumer Education Requirements - Very Specific PSA Obligations Placed on Broadcasters

Although many TV stations are already airing PSAs and other programming designed to educate the public about the upcoming digital television transition, the FCC released an Order containing very specific requirements  for these educational initiatives.  These rules mandate public education efforts about the DTV transition by television broadcasters, multichannel video providers, and electronics manufacturers.  In addition, the new rules require that television stations file a quarterly report on a new form, FCC Form 388, with the FCC (that is also placed in the station’s public file and on its website) certifying compliance with the requirements of the rules and setting out specifics of other consumer educations efforts about the DTV transition that the station has undertaken.The requirements will become effective immediately upon publication in the Federal Register, and continue through March 31, 2009, for all full power stations who complete the transition to their full DTV facilities by February 18, 2009.

The FCC has established three options for meeting the educational initiatives requirement, two of which are available to all TV stations, and one of which is available to noncommercial stations only.  Each has very specific mandates as to how many PSAs about the digital transition are required, and how much additional content (crawls, various over-lays onto programming, long-form programs) are required to meet the obligations.  Thus, broadcasters and others subject to these rules should review the specific requirements carefully.

Option One requires the following:

  • Between the effective date of the order (upon its publication in the Federal Register) and March 31, 2008, a station must run at least one PSA and one visual crawl on both its analog and digital streams, during each quarter of the day – midnight to 6 AM, 6 AM to noon, noon to 6 PM and 6 PM to midnight (actually to be run during prime time – 8 to 11 eastern and pacific, 7 to 10 central and mountain time)
  • Between April 1 and September 30, 2008, a station must run at least two PSAs and two visual crawls on both its analog and digital streams, during each quarter of the day – midnight to 6 AM, 6 AM to noon, noon to 6 PM and 6 PM to midnight (at least one during prime time – 8 to 11 eastern and pacific, 7 to 10 central and mountain time)
  • Between October 1, 2008 and March 31, 2009, a station must run at least three PSAs and three visual crawls on both its analog and digital streams, during each quarter of the day – midnight to 6 AM, 6 AM to noon, noon to 6 PM and 6 PM to midnight (at least one during prime time – 8 to 11 eastern and pacific, 7 to 10 central and mountain time)
  • Each PSA must be at least 15 seconds long, and must contain the following information:

(A) After February 17, 2009, a television receiver with only an analog broadcast tuner will require a converter box to receive over-the-air broadcasts with an antenna because of the Nation’s transition to digital broadcasting. Analog-only TVs should continue to work as before with cable and satellite TV services, gaming consoles, VCRs, DVD players, and similar products.

(B) More information is available by phone and online, and provide appropriate contact information, including means of contacting the station or the network.

  • The PSAs must, during the life of the campaign, also discuss the following information:

(i) The steps necessary for an over-the-air viewer or a subscriber to a multichannel video programming distributor to continue viewing the station after the transition;

(ii) Changes in the geographic area or population served by the station during or after the transition;

(iii) The channel on which the station can be viewed after the transition;

(iv) Whether the station will be providing multiple streams of free video programming during or after the transition;

(v) Whether the station will be providing a High Definition signal during or after the transition;

(vi) The exact date and time that the station will cease analog broadcasting, if it has not already done so; and

(vii) The exact date and time that the station will begin digital broadcasting on its post-transition channel, if it has not already done so.

Option Two consists of a compromise plan offered by the NAB, that focuses on longer announcements aired in higher listening hours with a more significant publicity push in the last months of the digital transition.  This option requires an average of 16 PSAs and 16 "crawls, snipes and/or tickers" per week between the hours of 5 am and 1 am.   Four each of these PSAs and crawls, snipes and/or tickers must air between 6 pm and 11:35 pm Eastern/Pacific time (5 and 10:35 PM in Central and Mountain time zones).  Each PSA must be at least 30 seconds long, or stations can substitute two 15 second PSAs for a 30 second spot.  Option Two also requires a 30 minute infomercial on the DTV transition to be shown once prior to February 17, 2009. 

Beginning November 10, 2008 (100 days prior to the transition), Option Two requires enhanced disclosure  That disclosure can take any of the following forms:

  • Graphic Display.   A graphic super-imposed during programming content that reminds
    viewers graphically there are “x number of days” until the full-power transition. They
    will be visually instructed to call a toll-free number and/or visit a Website for details.
    The length of time will vary from 5 to 15 seconds, at the discretion of the station.
  • Animated Graphic.   A moving or animated graphic that ends up as a countdown
    reminder. It would remind viewers that there are “x number of days” until the fullpower
    transition. They will be visually instructed to call a toll-free number and/or
    visit a Website for details. The length of time will vary from 5 to 15 seconds, at the
    discretion of the station.
  • Graphic and Audio Display.   Option #1 or option #2 with an added audio component.
    The length of time will vary from 5 to 15 seconds, at the discretion of the station.
  • Longer Form Reminders.   Stations can choose from a variety of longer form options to
    communicate the countdown message. Examples might include an “Ask the Expert”
    segment where viewers can call in to a phone bank and ask knowledgeable people
    their questions about the transition.95 The length of these segments will vary from 2
    minutes to 5 minutes, at the discretion of the station (Some stations may also choose
    to include during newscasts DTV “experts” who may be asked questions by the
    anchor or reporter about the impending February 17, 2009, deadline).

Noncommercial stations may either Option One or Option Two, or they can select a special option created solely for them.  Option Three consists of 60 seconds per day of consumer education of the station's choosing, of which 7 1/2 minutes per month must air between 6 pm and midnight.  This requirement doubles on May 1, 2008 and, on November 1, 2008, it triples to 180 seconds per day, of which 22.5 minutes per month must air between 6 pm and midnight.  Option Three also requires the 30 minute infomercial, which must air once between 8 am and 11:35 pm before February 17, 2009.

All of the options described above apply to both analog and primary digital stream channels and require PSAs to be closed captioned.  They also require the quarterly filing by each station of a new FCC Form 388, beginning April 10, 2008 and ending April 10, 2009, detailing the station's compliance with its chosen option as well as other (optional) station outreach efforts.  That form is filed electronically with the FCC, placed in a station's public file, and posted on a station's website.

The FCC also established educational initiative requirements applicable to multichannel video programming distributors (MVPDs) and consumer electronics manufacturers.  Briefly, MVPDs such as cable and satellite carriers must provide bill stuffers.  Manufacturers of TV receivers, converter boxes, DVD players and other devices that work with TV receivers must also provide consumer notices about the digital transition with their equipment.

There are no requirements applicable to translators, Class A or low power TV stations, although the FCC encourages them to advise viewers that they may continue to receive these analog stations after February 17, 2009.  They are also asked to encourage viewers buying DTV converters to get ones that will continue to pass through their analog signals.

Stations should take whatever steps are necessary to comply with the above requirements, since they become effective upon Federal Register publication, which could happen very quickly.  The FCC hopes that all of these consumer education requirements will help insure that no one is taken by surprise when full power analog broadcasting ceases on February 17, 2009.

FCC Releases Order Addressing the Process for the Final Transition to Digital Television

On the last day of 2007, the FCC released a 108 page order detailing its rules for the final stages of the transition of US full power television stations from analog to digital, a transition that is to be completed in less than 14 months.  The Third Periodic Review, as the order is titled, covers in detail the timing of required construction of the final facilities for each full power television station, as well as various details on other transition issues.  While we will prepare a more detailed summary of the order, some of the more significant issues that the Commission addressed include the following:

  • Established firm construction deadlines for final digital facilities for television stations which have not yet constructed those facilities. The deadlines are:
    • February 17, 2009 for stations moving to a new digital channel, or to their analog channel, for their ultimate digital operations
    • May 18, 2008 for stations that will remain on their current digital channel and which already hold a construction permit for their digital operations
    • August 18, 2008 for stations that will remain on their current digital channel but which do not have a construction permit for their ultimate facilities
  • Extensions of these deadlines will be permitted only upon a showing that the circumstances preventing construction were unexpected or beyond the control of the licensee, including zoning and financial inability - though these standards were made more limited than those that previously applied.  Any extension beyond February 17, 2009 will be granted only if it meets the Commission's tolling standards, e.g. there is litigation which must be resolved before the construction can begin or an Act of God that temporarily precludes construction.
  • By February 18, 2008, each television station licensee must file a new form with the FCC, Form 387, detailing the status of construction of the digital facilities of the station, and must update the information periodically if they have not yet completed their DTV construction.
  • The Commission has agreed to allow stations to receive Special Temporary Authority to operate with limited facilities, and to even cease analog broadcasting before the end of the transition or for periods of up to 30 days, if necessary to facilitate their ultimate construction, under certain specific guidelines and after prior notification that must be given to viewers. 
  • The current freeze on applications for increased facilities will be lifted after August 18, 2008
  • The Commission adopted new interference standards for applications for improvement in digital stations
  • Any digital station, whether operating as a licensee or permittee, must pay fees for any ancillary or supplementary services that they provide with their digital spectrum
  • Provided a format for the station identification that must be used when a digital station uses a secondary channel to rebroadcast another station, such as a low power television station.

 

One interesting comment on the transition came from Commissioner Copps, who was critical of the fact that the process for the final conversion is only now being established, with just over a year to go before the February 17, 2009 date by which analog television will come to an end.  The Commissioner suggested that the FCC pick a test market, and attempt an early digital transition there, much as is being done in other countries.  For instance, in Germany, the digital transition in Berlin took place early so that the process could be reviewed to ease the process in other markets.  While Copps suggests that the Commission could still do such a test market transition in the United States, one wonders how a market could be selected and sufficient public notice provided for a test transition to occur early enough to be a learning experience applicable to the remainder of the country.

Watch for more details on this Order, and other digital transition issues to be addressed by the FCC (including the prospect of mandatory publicity efforts for television operators), as the DTV transition progresses.

FCC Plans More Testing of White Spaces Devices to Operate Within the Television Spectrum

On Friday, the FCC issued a public notice promising further testing of "white spaces" devices.   As we've written before, these devices are being promoted by many of the largest tech companies as ways to make more efficient use of the television spectrum by using low power wireless devices within that spectrum in places where those devices would not interfere with the operation of television reception.  The National Association of Broadcasters and other television groups have opposed allowing such operations for fear that they will cause interference to broadcast stations.  Especially during the digital transition, when listening habits are just being worked out and new digital televisions are just being purchase and installed by users, and because interference to a digital television station does not result in "snow" as in the analog world, but instead no picture at all, broadcasters fear that these devices could severely impact the success of the digital transition. 

In August, as we wrote here, the FCC released the first results of its interference studies, finding the potential for severe interference to television broadcasters.  While broadcast groups trumpeted these tests as proof of their fears, many of the tech companies claimed that the testing was flawed, using at least one device that was malfunctioning.  The tech companies essentially asked for a "do over," while the broadcasters argued that, even if a tested device was malfunctioning, that malfunction itself was enough to demonstrate that the devices are not reliable enough to protect television operations during this sensitive transition.

The NAB recently ran radio ads in DC opposing the white spaces initiative, held a press conference with members of sports organizations which also oppose the initiative (interference to wireless microphones is also feared), and otherwise signified broadcasters' opposition to the re-initiation of the FCC inquiry.  Both sides have been lobbying on Capitol Hill and at the FCC on this issue.  The Public Notice demonstrates that the issue is not dead, and the FCC will continue its review of the white spaces proposal. 

The Public Notice does not make any pronouncements about when the testing would occur, how long it would take, or when any decision could be expected out of the FCC on the issue.  It does not even indicate what devices will be tested - requesting that interested parties contact the FCC if they have devices that they want tested.  The issue is clearly one that will continue to be debated in Washington, and one that should be followed carefully both by broadcasters concerned about spectrum interference issues, and by tech companies looking for more access to spectrum for their wireless communications needs.  It is a war that likely still has many battles to be fought.

Pushing Too Hard for Publicity on the Digital Television Transition?

The Digital Television transition, as we’ve written before, is becoming a political hot potato, with everyone seemingly preparing to point the finger at others if the transition does not run smoothly. In recent weeks, we’ve seen Republicans and Democrats alike taking their shots at broadcasters and the FCC – looking for likely sources of blame if there are a significant number of viewers who have a television signal that is missing in action on February 18, 2009, the day after the end of the transition. Many are blaming television broadcasters for not pushing the transition more in Public Service Announcements and other announcements on their airwaves. Some suggest a set of mandatory public service obligations to inform the public (see details here).  But would such a push at this time do any good when the availability of converter boxes is limited, and the price of digital-only television sets still high?

In recent actions, Commissioner Copps wrote an op-ed piece in USA Today last week sounding an old theme – more public interest obligations for digital television (see our post on the pending proposals, here) – and a newer one, that broadcasters should now be running public service announcements that inform the public of the steps that they need to take to be ready for the transition (either subscribing to cable or satellite or getting a digital television or converter box). A similar point about the publicity for the transition – perhaps even mandatory PSAs - was made in a recent letter from two Republican members of the House Energy and Commerce Committee, Joe Barton and Fred Upton, to the FCC. While there is no question that broadcasters need to promote the digital transition as the public is woefully uninformed of what is coming, does promotion do any good if the hardware is not available?

A personal shopping trip for a new TV for my son who just left for college was instructive to me. Looking to buy an inexpensive television likely to get abused in a freshman dorm room, I went to the local big box store in his college town. There were digital TVs in abundance – if you wanted to pay $500 or more. But there was not a converter box in sight and, surprisingly, only one non-digital set marked with the required consumer warning about being obsolete after the end of the transition. After looking at the choices, I decided not to buy now, instead opting to furnish his room with an old analog set from home that still worked just fine. That experience caused me to wonder what would happen if TV stations were running ads warning consumers about the transition now, before the converter boxes have been rolled out in great numbers. What would a consumer do if they hear dire warnings of the end of their television service, but visit the electronics store only to find themselves faced with the choice of buying a $500 television set or a non-existent converter box. My sense is that there would be a host of unhappy consumers complaining to the FCC, Congress and anyone else who would listen.

So perhaps a more measured approach to publicizing the transition is in order. The NAB has formed a department to publicize the transition, and gave details of the actions that it will be taking in a recent FCC filing addressing the proposal for mandatory public service announcements.  It seems like it is in the industry's own interest to make sure that its listeners are not disenfranchised.  The Commission should allow these efforts to get underway before adding new FCC regulation.  A calm, reasoned approach may well better serve the broadcaster, the consumer and the regulator who will be the one that receives complaints if consumers are panicked too early.

[Update - October 3, 2007] Yesterday, Senator Kohl, Chairman of the Senate Special Committee on the Aging, introduced a bill in Congress that would increase funding for outreach to the aging and other groups likely to be hurt by the DTV transition.  According to the press release, the bill would also mandate PSAs on the transition, and set specific reporting requirements to Congress about the progress of the transition.  It would also give a priority on the DTV coupon program, about which we wrote here, to those relying on over-the-air television as their primary source of TV. 

FCC Adopts Post-Digital Transition "Must-Carry" Rules, Extends Ban on Exclusive Programming Contracts, and Opens Inquiry Into "Tying" Agreements

Late Tuesday night, in a meeting originally scheduled to start at 9:30 in the morning, the FCC adopted an order establishing the rules governing the carriage of broadcast signals by cable operators after the February 17, 2009 transition to digital television.  While the full text of the Commission’s action has not yet been released (and may not be released for quite some time), based on the FCC’s formal news release and the statements made by the commissioners at the meeting and in their accompanying press releases, we can provide the following summary of these important FCC actions.

First, for a period of at least three years after the February 17, 2009 transition from analog to digital broadcasting, cable operators will be required to make the signals of local broadcast stations available to all of their subscribers by either:  (1) carrying the television station's digital signal in an analog format, or (2) carrying the signal only in digital format, provided that all subscribers have the necessary equipment to view the broadcast content.  This rule reflects a compromise position offered by the National Cable & Telecommunications Association, and is regarded as less burdensome on cable systems then the FCC's original proposal of an indefinite analog carriage obligation. 

Second, the FCC reaffirmed its existing requirement that cable systems must carry High Definition (HD) broadcast signals in HD format, and further that it must carry signals with “no material degradation”, i.e., with picture quality as good as any other programming carried by the operator.  In affirming its "no material degradation" standard, the FCC rejected a proposal by the broadcast industry that would have required operators to pass-through all of the bits in digital television broadcast signal.

Third, the Commission also voted at its open meeting to again extend for five years the existing prohibition on exclusive distribution agreements between cable operators and cable-owned programming networks, and to require disclosure to program-access complainants of certain network affiliation contracts.  Finally, the FCC adopted a Notice of Proposed Rule Making (NPRM) commencing an inquiry into the alleged wholesale “tying” of marquee programming with less desirable or unwanted program services, which some think may also provide a segue into the issue of a retail “à la carte” programming mandate for cable operators.

Further details about these new rules and the new inquiry into the tying of programming can be found in Davis Wright Tremaine's recent bulletin, which is available here.  We will keep you posted and provide more details once the text of these decisions becomes available.

700 MHz Reclaimed TV Spectrum Auction Rules Adopted - A Preview

Two weeks ago, we wrote about the FCC’s proposal for the auction of the 700 MHz band – the portions of the spectrum that will be reclaimed from television operators after the digital transition.  These channels will be used to provide some form of wireless broadband service. The Commission made its decision on the use of this spectrum last week, reserving at least some of the spectrum for “open access” uses – where the provider will not be able to restrict the devices that can access the network, nor limit or block services that run on the network, as long as the devices and services do not cause damage to the network.  In theory, this will encourage the creation of numerous new devices and services to capitalize on the open wireless network being provided.  While the Commission has not released the full test of this decision yet, a memo from our firm, describing some of the decisions announced at the FCC open meeting and in the subsequent public notice, can be found here.

Whether the provisions that the Commission adopted will be sufficient to entice some of the Internet “content” companies, like Google, to bid, remains to be seen. But this “beachfront spectrum” will no doubt introduce some exciting new uses as it begins to come into operation in the next few years - providing more people more wireless access to mobile content - and more competition to those traditional wireless industries that many consumers have forgotten are both wireless and mobile - those provided by traditional broadcasters. 

In fact, that point was made yesterday by Jeff Smulyan, President of Emmis Communications, on a panel about the future of broadcasting at the Texas Association of Broadcasters meeting in Austin, Texas.  There, he stated his belief that broadcasters - particularly radio broadcasters - had to do more to bring back the cachet back to the broadcast industry - making the point that many young people do not realize that radio is a mobile wireless service!  With the publicity about more and more wireless services to wireless devices like cell phones and PDAs, hype that will only grow as the 700 MHz spectrum is auctioned, reminding consumers about the reach and delivery of the broadcast services will become even more important. 

Final DTV Table Released; Comments on Third Periodic Review of DTV Transition Extended to August 15th

Late Monday, the FCC released the Seventh Report and Order and Eighth Further Notice of Proposed Rule Making in the DTV proceeding.  This Order adopts the final DTV Table of Allotments and establishes the post-transition channels for all full-power television stations in the country.  This Table of Allotments is the culmination of a several-year process by television stations to elect the channel they wish to keep for future operations, and the channel they wish to return to the FCC following the switch to DTV on February 17, 2009.   The FCC confirmed that this is a hard, statutory and nonwaivable deadline, and that all analog full power stations will have to cease broadcasting on that date.   The deadline does not apply to low power stations and translators, however, which may continue analog broadcasting beyond that date.  The FCC said it would deal with the low power TV transition to DTV at a later date.

A copy of the Order (including the new Table) is available here.  Licensees are encouraged to double-check the information listed for their stations, as this Final DTV Table will become gospel for digital television stations going forward.

In addition, partially as a result of its release of the DTV Table, the FCC yesterday extended by one week the deadline for submitting comments in response to the Commission's Notice of Proposed Rule Making (NPRM) regarding the next steps in the DTV transition.  Comments are now due by August 15th, and Reply Comments by August 30th.  A copy of the full NPRM can be found here. Given that this proceeding will establish the details for the final push to digital broadcasting by February 17, 2009, broadcasters should be sure to review the the NPRM and consider filing comments.

Digital Television Transition Issues to Highlight FCC Meeting

The FCC's agenda for its meeting to be held on Wednesday, April 25, contains four separate items related to the digital television transition.  The issue receiving the most press coverage is the proposal advanced by Chairman Martin that would require the cable carriage of television signals in both analog and digital formats until all cable subscribers have been transitioned to a digital cable format.  As the item addressing this issue is a Notice of Proposed Rulemaking, no final rules will be adopted this week.  Instead, this will be an issue on which parties can comment, and will likely take the FCC quite some time to resolve.  The agenda contains other items that may ultimately be just as important.

For consumers, the Commission will consider new rules on the labeling of television equipment - presumably to warn consumers that they may be buying a piece of analog television equipment that may not work after the February 2009 digital conversion.  Another item will address other technical issues in the digital transition.  The final item is not coming from the Media Bureau which usually considers broadcast matters, but instead from the FCC's Wireless Bureau, which regulates the spectrum at Channel 52 and above (the so-called 700 MHz spectrum) which will be fully reclaimed from broadcasters for wireless services after the end of the digital television transition. The item will consider a number of issues on how operators in that spectrum will be able to operate as they come online.  As there are already uses of that spectrum to provide media services, e.g. QualComm's Media Flo technology about which we wrote here, and other wireless broadband uses are planned, broadcasters should monitor the developments that arise in this area as they may well affect the competitive environment in the years to come.